Shares of metal majors Tata Steel Ltd and JSW Steel Ltd are in an uptrend for the first time this week after Finance Minister Nirmala Sitharaman’s speech on July 23. While Tata Steel stock rose 3% to Rs 162.80, shares of JSW Steel also climbed nearly 3% to Rs 899.25 on BSE. Both metal stocks were among the top Sensex gainers in Friday’s trade. In terms of valuation, Tata Steel shares have a price to book (PB) ratio of 2.20. JSW Steel has a PB ratio of 2.83.
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The PE ratio of Tata Steel stands at -44.35 and same for JSW Steel stood at 30.
Tata Steel stock has a one-year beta of 1.4. This signals the stock has high volatility.In terms of technicals, Tata Steel stock is trading in the oversold territory as the relative strength index (RSI) of Tata Steel stands at 29.4. The large cap stock stands higher than the 5 day, 150 day and 200 day moving averages and is trading lower than the 10 day, 20 day, 30 day, 50 day and 100 day moving averages.
The stock has gained 35% in a year. Market cap of Tata Steel rose to Rs 2.02 lakh crore amid a rally in the broader market today.Total 21.69 lakh shares of the firm changed hands amounting to a turnover of Rs 34.91 crore on BSE.
On the other hand, JSW Steel stock has a one-year beta of 1.2 . This signals the stock had high volatility during the period.
The metal sector stock is trading neither in the oversold nor in the overbought territory as the relative strength index (RSI) of JSW Steel stands at 34.8. The large cap stock stands lower than the 10 day, 20 day, 30 day 50 day but higher than the 5 day, 100 day, 150 day and 200 day moving averages.
Market cap of JSW Steel stood at Rs 2.19 lakh crore on BSE. The stock has gained 11.47% in a year. Total 0.44 lakh shares of the firm changed hands amounting to a turnover of Rs 3.91 crore on BSE.
Here is a look at what brokerages said on prospects of both metal stocks.
Tata Steel
Centrum Broking has a price target of Rs 168 on Tata Steel. Prabhudas Lilladher has a price target of Rs 186 on the stock with an accumulate call. The Tata Group firm is yet to announce its Q1 earninngs.
JSW Steel
Prabhudas Lilladher has a price target of Rs 1022 with an accumulate call, valuing at 7x EV of Mar’26E EBITDA.
Centrum Broking has a reduce rating on JSW Steel with a target price of Rs 895 (Earlier: Rs909), valuing at 7x FY26E EV/EBITDA.
The company has announced its Q1 earnings. First quarter net profit (attributable to owners) fell 64 percent to Rs 867 crore. The profit missed consensus estimates of Rs 1,254 crore. Revenue from operations came at Rs 42,943 crore, up from Rs 42,213 crore in the year-ago quarter.EBITDA in Q1 slipped 22% on a year-on-year basis YoY to Rs 5,510 crore, while margins declined 390 basis points to 12.8%.
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